was shot and killed after a run-in with police. and this morning, his family is demanding answers and accountability. i'm christie smith, that story coming up. >> and two things before you walk out that front door this morning, a sweater and some sunglasses. highs in the 80s today. and yeah, we've got a good-looking forecast for the weekend. >> and i'm looking at 280 through san jose, you might be looking at it too. if you need an alternate around this sig alert, the latest for 101 coming up. and a live look outside. look at the coloresque sky out there. it's a beautiful way to start the day. glad you're joining us, thursday, june 7th, this is "today in the bay." and good morning. thank you once again for joining us. 5:00 right now, i'm laura garcia-cannon. >> and i'm jon kelley. and a sad scene this morning.

stuffed animals, candles, and pictures serving as a memorial to a teen who was shot and killed by police in south san francisco. "today in the bay's" christie smith is live at that scene where the family and friends of that teen are crying foul. christie, good morning. >> good morning to you, jon. family and friends keep coming by and dropping off flowers and notes for 15-year-old derek we were here late yesterday morning and i can tell you there were two bears out here and some notes. so you can see everything has changed. his mother believes the teen was profiled. she says she now worries about the safety of other teenagers here in south san francisco. now gaines was shot and killed tuesday night after police say he ran from them and pulled out a gun when an officer tried to make contact with he and another teen around 9:00. what started it all? well, police will only say that the officer was trying to stop

the teens because they were acting suspicious. now exactly what they were doing, we don't know, but police say that gaines ran and led officers on a short chase. his aunt says she moved him to south san francisco from oakland to try and protect him. >> he was a good kid. and he didn't deserve this. >> that lack of compliance escalated to the point where the suspect produced a handgun from his waistband at which time our officers in the protection of his own life discharged his weapon. >> reporter: now gaines' mother says that he was walking home from mcdonald's. and she doesn't believe he had a gun. but police say they did recover his give up but they didn't say what type it was or whether it was loaded or not. now south san francisco police are investigating the shooting along with the san mateo county

district attorney's office. christie smith, "today in the bay." this morning, a man in his 20s is expected to survive after being shot by oakland police. police swarmed the area at 105th avenue around 8:00 last night. so far, no word from police on how that shooting started or if the suspect was armed during the confrontation with police. now officers were injured in the shooting. the suspect is recovering at highland hospital. the on again, off again search for sierra lamar is back on right now. two days ago water searches were called off. sheriff dive teams searching lake cunningham near raging waters yesterday. investigators say they did get a tip that the suspect antolin garcia-torres was seen fishing recently. the suspect for the murder and kidnapping of sierra was seen recently fishing at that lake. prosecutors charging garcia-torres with killing the morgan hill teenager even though lamar's body has not yet been found. the lamar family offering a $25,000 reward for any kind of information leading to a conviction in this case.

5:03, pleasanton police have a sketch, but they do not have a name. and now they're asking for your help in identifying a woman recently found dead in a crash can. here's a sketch investigators just released. they also released a picture of the earrings she was wearing at the time. police were able to get a fingerprint from the woman but found no match in a nationwide data base for missing persons. >> we have no way of proving where she came from, where she died, how long she'd been there. those are very difficult things to answer. >> the victim was wearing an old navy shirt and pajama bottoms. if you have information which could help solve the crime, contact the pleasanton police department. there are new details emerging from the bryan stow assault case, during day four on wednesday, his friends and fellow paramedic, i should say,

describing the moments leading up to that beating. he said dodgers fans were screaming at the team during the game and stow told him, "i hope they code," a reference to a cardiac arrest. that's when the two suspects allegedly confronted stow and his friends. but during testimony, neither of the witnesses were able to positively i.d. those attackers. legal experts say this could really affect how a potential trial plays out. >> a lack of a really positive i.d. isn't a problem at this stage. these guys are almost certainly going to get bound over for trial. but at trial with a higher standard of proof, the district attorney better have more solid eyewitness evidence. >> if there is enough evidence brought out during the preliminary hearing, norwood and sanchez will stand trial. both pleading not guilty for the march 2011 beating. terrifying moments after a toddler falls of a second story window but survives.

it happened near the lawrence expressway at stevens creek boulevard in santa clara around 7:30 last night. the child was set to be alert when firefighters arrived. police say the toddler was taken to a nearby hospital. the extent of those injuries are unknown. there are thieves out there ripping off wire from poles in the east bay and leaving some without comcast service today. a total of 160,000 feet of optic wire has been stolen today in vallejo. though the thefts have happened in vallejo, the customers impacted live in benecia. our parent company is comcast right here at nbc bay area. so stop ripping them off. you're going to affect our stuff. >> it's all about us at the end of the day. >> keep our signal up, right? the forecast pretty nice. even as you head out the door, i think. >> it is really nice out there. and yes, you want to keep that

comcast up and running so shame on you. as you can see here, a nice clear start. we have a little bit of moisture. and you can see that more than yesterday at this time. so we are expecting a little bit more fog, especially at the coast, but overall starting out nice and clear and crisp out there, as well. 50 in sunnyvale, san mateo this morning, 45 degrees in santa rosa. winds are strong straight out of the west at 20 miles per hour. and that's ocean air coming in over the land. i do think we'll see a few of those low clouds at least carried in with that westerly breeze. not expecting much, though, mostly clear start. 72 degrees as of noon inland. 80 degrees in the heat of the day, our highs coming in between 4:00 and 5:00 this time of year, and of course, the 20th marks the summer solstice. let's see if there's a larger than normal drive. here's our traffic highway man, here's mike. >> it has been over the last week or at least this week a little bit lighter in volume,

and also since the memorial day holiday we've seen that flux that happened, like you said, a lot of schools. 101, good news to report, earlier accident involving three cars and blocking a couple of lanes has cleared to the shoulder. chp crews there, no injuries reported. that's the best news out of this situation. it should be cleared before that morning commute comes in. the rest of the roadwork not presenting an issue, but slowing adjacent to the construction markers and that's because some of those crews are starting to move out of the area causing a disruption to the flow there. along 101 northbound, look at that, between marsh and university, northbound slowing. that crew also scheduled to clear over the last few minutes and likely why we see that happening. all the way up the peninsula into san francisco. smooth drive for 92, as well. if you're heading to the coast, highway 1, pacifica, we're watching for traffic control, and that's pretty standard. looking at the inland area, as well, pretty smooth flow and a

live look outside. we'll show you what it's like past oakland. pretty light, but building back to you. >> thank you very much, mike. 5:08 right now. an east bay community getting wound up about a new leash law. the dog fight that could make it to the november ballot just ahead. also, lessons beyond the classroom. how a group of university students are keeping a professor's memory alive and legacy intact. and for all your news, traffic, and weather, check us out on facebook, search nbc bay area. ♪ [ kari ] i used to serve my country in the u.s. army. ♪ then, i was hit by a drunk driver

and lost my legs. but that didn't change a thing. because i still serve my country, i just wear a different uniform. [ male announcer ] citi is joining kari miller to give back to the paralympic military & veterans program. join the movement at citi.com/everystep and help citi help u.s. athletes make a difference. together, every step of the way. ♪ we were skipping stones ♪ and letting go ♪ over the river and down the road ♪ [ female announcer ] at nature valley, we know nature comes together in amazing ways.

that's why we bring together natural ingredients, like dark chocolate with toasted oats, or sweet golden honey. perfect combinations of nature's delicious ingredients, from nature valley. ♪ ♪ i was thinking that i hope this never ends ♪ [ female announcer ] nature valley granola bars, nature at its most delicious. welcome back, everyone, on this thursday morning. a little bit of fog out there. not much on the golden gate bridge as the lights are gleaming. double your pleasure, double your fun, we also give you a live shot from san jose, that's

the hp pavilion, i think van halen was there a couple of nights ago. team of graduating seniors at santa clara university carrying on the legacy of their professor. and today they will be honored at a touching tribute. they recently won a $90,000 grant to continue their work on their fuel cell design. the design will eventually replace large, toxic batteries currently used to store solar and wind energy. they're carrying on the work of dan strickland. he was just 27 years old when he was killed in a car crash on interstate 280 in september. students say strickland had a saying that always inspired them, absolutely and carry on. >> it just -- just continue with your hard work and it'll take you places. >> tough obviously for the students and understandable.

today strickland's father will actually present the team with plaques to thank them for their work in honoring his son's memory. >> what a great legacy and honor that is right there. always nice to see teachers getting saluted. they are important. here's a question for you. are you one of the 6 1/2 million people who had their linkedin passwords ripped off? >> if you try to log in and you can't, you are one of the victims. linkedin has reset the password of every account victimized. if you can't log in, there'll be instructions as to what to do. already people are reporting they are getting fake e-mail from linked in and other websites. and make sure you're not falling for the wrong e-mail here. and there's an easy simple way to tell the difference between a real e-mail from linked in and a fake one. the real e-mail will have no links in it. nothing to click on. instead you have to follow printed instructions. now, there is a second problem and many people use the

same password for more than one site. so change your password anywhere you use that same password. meanwhile, the head of the nasdaq is speaking out for the first time about problems with the facebook ipo. he spoke yesterday afternoon to cnbc. >> how are you feeling? are you embarrassed? >> well, we have been embarrassed and certainly we apologize to the industry, but the important thing we have to do is focus on the future and make sure we make ourselves a better, stronger organization as a result of this. >> with the nasdaq. checking my four square, i see hampton pearson is at the cnbc bureau this morning. good morning, hampton. >> hey, scott, staying on message, four square is getting a makeover, the popular smartphone app letting people tell their friends where they are by checking in at locations like stores and restaurants. but starting today, four square will let you find other spots nearby without having to search

for them. the app will recommend bars and shops based on the places you frequent the most or what your friends like. meanwhile, looking at stocks, futures are higher, stocks looking to build on yesterday's strong rally. markets surging on hopes that the fed and other global central banks will ride to the rescue with more economic stimulus measures. a pair of top policy measures say the fed stands ready to act if the economy takes a turn for the worst. fed chairman ben bernanke testifying before congress. we also get data today on unemployment and consumer credit. yesterday, the dow jumping 286 points to 12,414. it's back in positive territory, the nasdaq closing at 2,844. and scott, i've got to thank your anchor side kicks laura and jon for the kind words in the last half hour. and as we say here at cnbc in the interest of foull disclosur, i am a bay area refugee.

>> hampton pearson, everyone. >> in washington, d.c. thank you very much. >> hampton pearson. >> a wonderful person. he's also the very first guy who ever knows the unemployment numbers in the whole world. the labor department tells him and boom, off he goes with it. >> the insider. >> and boom, off you go too, scott mcgrew. >> should with be surprised about that? >> no. hampton's got juice. i'm guessing on the weekend he wears ans s ascot. >> he is that cool. >> and i love how scott mcgrew says carry on, hampton. good morning to you. a good-looking forecast for everybody. today as we head throughout the weekend, it is going to get warm inland. temperatures warmer than they have been as we get closer and closer to summertime in the city. 49 degrees in livermore, 52 in san jose and 50 in san mateo this morning. we've got wind out there.

and it's rather strong on the north end of the bay area. you can basically slice it in half right here. bay bridge, we're getting the gustier winds. the wind speeds pretty high through fairfield, 20 miles per hour in novato. high pressure's moving in, we had an area of low pressure passing to our north, winds will play a factor, but opposed to yesterday, that building breeze for the second half of the day, the winds will be more gusty for the first part of the day. isolated 80s in the warmest spots across the bay. more 80-degree readings than yesterday. but overall, running about three to five degrees warmer. that's it. if you liked yesterday, you'll like today. as we head through this weekend, rather toasty, 84 degrees by sunday, 88 by monday, and the hot stuff arrives as we head through tuesday into wednesday of next week. back to you guys. actually, let's check your drive with mike inouye. >> you don't have to do that double duty. thank you very much, christina. looking over here to highway 4,

the typical job for the commuters getting to their job. 58, minor slowing building. that's a preview over the next 20 minutes. smooth drive in toward the dublin interchange where north of there shows that slowdown we talked about. the crews still there around al costa and heading north into san ramon. and here, we have a 15-minute drive, speeds in the 40s and 50s. the volume coming into livermore and toward basco road. no major issues, approaching the caldecott, smooth drive for 24 now they have cleared. no problems for the east shore and the lower deck getting over from san francisco. that crew going on for another 20 to 30 minutes. shows you how traffic flows. very light volume. comes up around the bay, nice easy drive down the east shore, as well. and back to the south bay. i want to give you one more update. 101 has seen no major slowing after the accident cleared. all activity now gone from 101 at montague. construction 280 around 85 picking up and the other spots,

they should be following in close suit over the next half hour. no major issues. but we do see some slowing around the construction because those crews are on the move, guysment back to you. >> thanks a lot. well, we can tell you there's another key meeting focusing on the america's cup in san francisco. a public hearing being held at the san francisco bay conservation and development commission. officials could also vote on whether to approve permits for the construction along that water front. the meeting's happening today at 1:00 p.m. dog owners fighting back against a new leash law. starting this weekend, unleashed dogs are banned. at least until a fenced in dog park is built. opponents asking city leaders to repeal the ordinance. if the city council decides against rescinding the law, the issue could go before voters in november. a group of fishermen getting stung in a poaching sting along the north coast of highway 1.

these guys are out there doing a thing. the california department of fish and games citing 38 susp t suspected poachers at a surprise check point. also seizing 80 abalone believed to be taken illegally. these fish can go for $100 each out on the black market. i didn't know you could get fish on the black market. abalone state species, limiting the catch to three a day and 24 a season. but officials say more than 200,000 are taken illegally each year out on the north coast. >> interesting. >> very interesting. >> i'll tell you what, laura, cockroaches, you scared of cockroaches? >> no, they're just disgusting. how is this for interesting? they have figured out how they manage to skitter out of sight before you can swat them. it looks a little circa

solei-ish. they can swing underneath. >> and those are -- >> you think? >> they're similar species. >> oh, but look at that. it turns out it's a rare thing. we know that lizards can do it. >> they're fast too. those lights go off, bam. >> that's enough cockroach video for this morning. >> enjoy your scrambled eggs and bacon. the time now 5: 21. coming up, a marriage proposal with disastrous results. she didn't say no, but she wound up in the hospital. all the details ahead. plus, camping out for kicks. why people are willing to miss work and school tohellut out hundreds for new sneakers. hello?

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welcome back, everybody. how about this for a nice wake-up shot over san francisco.

that's a double-dip here. you've got alcatraz, little rock, and the tower, going to be a beautiful day outside. listen to this one. an airborne marriage proposal ended with a shock, literally, when the hot air balloon carrying the future bride and groom hit a power line. >> freaky. >> knocked the pilot unconscious and into the bride to be giving her an electrical jolt as well. >> wow. the future groom had to give the pilot cpr reviving him. >> yeah, both the pilot and woman were taken to a hospital to be treated for burns. their injuries are not believed to be serious. >> i remember when i proposed to my wife, i had an electrical shock in the back of my neck and blacked out. yeah. it is 5:24 right now. >> are you in the dog house this morning? is there a reason for that, jon kelley? good morning to you. we've got a good-looking day. taking your dog for a walk will be a pleasure this afternoon.

72 degrees by 4:00 p.m., 80 degrees inland, your seven-day is moments away. here's mike. >> good morning. a lot calmer now, we had that earlier sig alert which cleared. and now the last time i showed you construction, we had a couple more crews, now around 280 and 17, that interchange. no major slowing for the south bay, we do have this slowing northbound 101 right around university heading up towards marsh, the crews clearing, likely why the sensors are confused by the slower moving vehicle and marsh closed from the northbound side. a look further north for 101 across the golden gate and look at that beautiful view as the sun comes up, we can see the hills silhouetted on the north bay. no slow down for the drivers. just a beautiful view coming out of the waldo tunnel and heading into the city. >> thanks so much, mike. well, i guess you could stay out in new york city, it's an outbreak right now. sneaker fever, people calling in sick to go out and get some

shoes. >> these folks have got it bad. they've been out there, some for over a week all for kanye west signature kicks, the air yeezy twos. they're going to have to be patient. the shoes won't even be on sale until saturday. >> and we found people on ebay people bidding over $80,000. >> if you're in line lucky enough to get a pair, they're about $200. >> 5:26. still ahead, elderly people in the north bay allegedly bilked out of millions of dollars by a trusted friend. we'll have the details just ahead. a live look from the south bay this morning. nice way to start our morning. hp pavilion. here you go little man. [ humming ] [ babbling ]

the cheerios bandit got you again? [ both laugh ] ♪ the one and only, cheerios ...and now... you! [ giggles ] ♪ the one and only, cheerios

almost to the weekend. and your forecast is heating up. today's weather, 80 degrees inland, 70 degrees bay side. and 65 at the coast. big-time warm-up in 72 hours.

>> and your commute is here. we're watching other slow spots including the peninsula. what's up with that road crew, i'll let you know coming up. and taking a live look outside alcatraz island. what a beautiful look for this thursday, june 4th. this is "today in the bay." good morning to you. and thanks so much for joining us, it's 5:29. i'm laura garcia-cannon. >> good morning, i'm jon kelley. this morning, east bay police trying to track down a teenager wanted for questioning about the shooting death of his girlfriend. police say they have an arrest warrant for 18-year-old deangelo eagleton, he's been missing since they found 18-year-old jones dead inside her home earlier this week. friends tell the oakland tribune the relationship between the two had been rocky at times. so far, police not saying why

they suspect eagleton is linked to this killing. a petaluma real estate agent will be in court today to face charges of stealing more than $20 million in a ponzi scheme. being held on $2 million bail at the sonoma county jail. many of the victims are elderly and they've known the family for years. a huge rally on wall street yesterday lifted the markets into the black for the first time. scott mcgrew, for that we can thank a san franciscoan. >> yeah, you can. more about about that in a minute. the dow industrials gaining 286 points wednesday. up better than 2.33%. even facebook gained a 3%. much of the rally came in the second -- after the second in command, this woman here, former san francisco fed president janet yellin just outright said the central bank should be doing more to help the economy.

fed members usually hint at these things in language that's hard to parse and she was explicit in her comments. investors are hoping for another round of easy money. the third round of quantitative easing or qe-3. yellin's boss ben bernanke goes before congress today in a regularly scheduled meeting. you know the idea of qe-3 is going to come up. if he hints it's likely, you're going to see another great day today. already dow futures calling for 60 points on the open. in a weird way, jon and laura, the hope that the economy isn't doing well, which is what janet yellin is saying creates this hope that the fed will step in. so in a bizarre way bad news becomes good news. >> i could see that. >> whatever works. >> thank you very much. >> why is she yellin all the time? it's 5:31 right now. let's toss it over to christina loren. and things going up on the weather. >> yeah, but we have all positive news when it comes to

the weather forecast, especially for your weekend plans. kids getting out for summer and you can get them outdoors comfortably. we don't have any rain in the forecast. in fact, i think the only significant weather elements that you'll have to deal with. a lot of sunshine, high uv index. and you may be sniffling and sneezing. that pollen count is back. we'll take a look at that coming up. shout out live pictures here. very rare treat for us, probably very well versed in the terms of june gloom. well, we don't have any of that for you this morning. nice clear start, crisp conditions, and temperatures today are going to be perfect. for outdoor plans by noon inland, you're going to have to wait for that warm-up in san francisco and oakland. but by 4:00 p.m. today, temperatures in the 60s and 70s even right by the water. here it is, your wind speeds right now are certainly picking up quite a bit and this is one of the contributors to that higher than normal pollen count. all that pollen getting shaken around. watch out for that today. you want to keep the allegra handy. high pressure takes control, a

more stable air mass as a result and our pollen levels should drop off through the weekend. as we head throughout the weekend, though, temperatures are going to soar. today, the isolated 80s in the warmest spots across the bay. and another nice warm afternoon and then we soar. saturday, sunday, monday, i'll have that forecast, my seven-day in my next report. 5:33, he's back. he's well rested. you need to be well rested before you hit the road. >> well rested for me, no, i watched the kids for two days. it's more of a rest right here. right over here, we're looking -- just concentrating on my maps this morning. we're looking over here northbound 101, just around university. it is still slow. now that reported clear around 5:15, that may be residual slowing. construction still blocking the marsh off ramp, but really that's about it. and 101 shouldn't be a problem by the time you get there traveling northbound into menlo

park. the south bay shows a nice drive. we do have a blip northbound 880 around highway 87. crews cleared from that area a short time ago around alameda and that may be a similar situation with the road crews, 280 and 17 have roadwork going on at the interchange. everything sounds like it's flowing smoothly through the northbound commute out of san jose. heading through sunol, no problems through 680, but northbound 680 still some construction around al costa, you see the slowdown heading into san ramon, and 580 westbound with a 15, 16-minute drive, the slow down started early but held steady over the last few minutes out of the altamont pass. 23 miles per hour over towards that 65 through pittsburg and bay point. a nice easy drive. lafayette the earlier construction has cleared. no problems, smooth sailing to the two westbound roads for highway 24. the lower deck construction

getting out of san francisco, a live look getting into san francisco shows you light volume at the toll plaza. and if we can't get that -- there we go, 880, nice drive northbound with the taillights, back to you. a jury has been seated in the sex abuse trial for jerry sandusky. the jury of five men and seven women will hear arguments on monday. four alternates also selected yesterday. many of the jurors have connections to penn state university where sandusky was an assistant football coach. he has denied the charges. 5:35 right now. a cal swim coach who was sexually abused by a teacher growing up has been banned from sharing her story with the swim club. sh she went public with her story last month and talked about about her three years of sexual abuse by a middle school p.e.

teacher. she planned to hold a conference, but the board members decided to cancel that this week. beware, hackers have hacked into linkedin and millions of passwords. a hacker in a russian web forum claims he uploaded 6.5 million encrypted passwords. sources say more than 300,000 have already been cracked. if you use linkedin, the company recommends you change your password immediately. and if you find out you're hacked, go ahead and check it out by logging in. 5:36 right now. we're also following breaking news out of east palo alto this morning where police on the scene of a deadly overnight shooting. bob redell live at the scene with the latest. bob? >> reporter: we're here on the 2,500 block in east palo alto where the homicide detectives are getting ready to wrap up part of the on-site part of the

investigation. the fire department is here and actually cleaning up the scene. if you were to zoom in and look past that silver suv, that's where the shooting took place last night happened around quarter to midnight. police know it happened because that's when the shot spotter technology indicated there'd been shots fired here when the authorities arrived on the scene, they found a man in the driveway of that home or in front of that home with several gun shot wounds. he was taken to the hospital where he ended up dying. he was a 31-year-old man who lived here. as far as suspects, they have interviewed people who are around here at the time. it's not clear whether they have witnesses or if they have people who might have seen something or something else along those lines, they are still trying to identify a suspect, that's why they're trying to get the word out to the people. if you know anything about this to please give east palo alto police a call because right now they do not have any arrests. again, 31-year-old man shot just before midnight last night.

it's not clear what led up to this shooting. but there was obviously some confrontation and we understand the suspect was another man. no description other than that. reporting live here in east palo alto, bob redell, "today in the bay." 5:38. still ahead, this woman is a tough competitor with dead-on aim and she's in her third trimester. we'll introduce you to an athlete going to the olympics eight months pregnant. >> winning gold already. plus, republicans find an unlikely ally when it comes to your taxes. a live report from capitol hill is just ahead. >> sharp shot of the capitol. a nice shot of the sunol grade out there. traffic out there in the distance. traffic, weather, all sorts of good things in a matter of minutes. in the meantime, log on to facebook any time of the day or night, search nbc bay area or check us out individually. viewers.to hear from our >> we're open 24/7. ♪

♪ we were skipping stones ♪ and letting go ♪ over the river and down the road ♪ [ female announcer ] at nature valley, we know nature comes together in amazing ways. that's why we bring together natural ingredients, like dark chocolate with toasted oats, or sweet golden honey. perfect combinations of nature's delicious ingredients, from nature valley. ♪ ♪ i was thinking that i hope this never ends ♪ [ female announcer ] nature valley granola bars, nature at its most delicious.

welcome back one and all on this friday eve, also known as thursday. give you a live look san jose at the hp pavilion. this summer, we have the u.s. gymnastics championship trying to earn a spot on that olympic team, it is 5:41. at least 18 people including 7 children are dead after a nato air strike in eastern afghanistan. the president of afghanistan says the predawn strike on the logar province is, "unacceptable," so far, nato has only confirmed militant deaths. but they are sending a team to investigate. leon panetta visiting afghanistan this morning discussing plans for troop withdrawal. in a meeting with the defense minister, panetta also insisting he's keeping pressure on afghanistan. panetta says the u.s. is running out of patience to root out the

terrorist that's networked there. that group is the one that claimed responsibility for several attacks on americans, including last year's attack on the u.s. embassy and nato headquarters in kabul. panetta says that group is one of the biggest threats to stability in afghanistan. 5:42 and on to decision 2012. in politics this morning, much ado about taxes. republicans are abuzz about former president bill clinton's claim that everyone, including the rich, should continue to get a tax break. tracie potts live in washington, d.c. with how that's all playing out in the presidential campaign and on wall street. good morning. >> laura, good morning. good morning, everyone. well, asian stocks are up this morning, and we are hoping to see another great day on wall street after the best day since december on wall street yesterday. a lot of that having to do with the bank rescue in spain, but in terms of our economy, we'll get another idea today of just what

we are when ben bernanke the federal reserve chair testifies. three members say they're ready to act to prop up the economy. but the biggest issue on capitol hill, are they going to let taxes go up again january 1st? if congress doesn't act, that's exactly what's going to happen. very different ideas on whether the rich should get those tax breaks. >> when you raise the marginal tax rate from 35% to 40%, it means that business will keep less capital and can hire fewer people. it'll kill jobs. >> it's not enough just to continue the bush tax cuts, we're going to tack on another $5 trillion worth of tax cuts. >> and president obama says that's not something we can afford to do. now this, of course, has become not only a key campaign issue, but a key issue in the homes of those millions of americans we heard about when the jobs report came out last week who still don't have jobs and are looking. back to you. >> tracie potts, thank you very

much. now back here in san jose, the voters have spoken loud and clear. now the lawyers will take over as union leaders vow to challenge measure "b" in court. the lawyers representing the city's police and firefighters union say they're filing legal challenges. appearing in our studio. mayor chuck reed says he's prepared to spend big money to fight for what he says will be long-term savings for the city. >> this is $1 billion problem. so if we have to spend some money to eliminate the problem, to protect the rights of the taxpayers, we will. >> 70% of voters approved of measure "b," but the union leaders say it's just a legal attempt by the city to reduce the value of employees' pension credits. most legal experts we've talked to say this one will take years for this issue to be decided in the courts. in the meantime, supporters of proposition 29 say right now the measure is raising tax on cigarettes by $1. it's about 65,000 votes short. but nearly 1 million absentee

ballots still need to be counted. some political experts are predicting based on voting trends the outcome will likely not change. the health battle over sugary drinks taking center stage out in washington this morning. health advocates along with nutrition and medical experts getting together for the first ever national soda summit. focusing on improving public health by reducing consumption of sugary drinks coming days after michael bloomberg proposed that ban on soda and sugary drinks that are larger than 16 ounces. he says no big gulps allowed. >> interesting there. >> see how that plays out. >> exactly. >> if you're going to need a nice cool drink later this afternoon, pretty good temperatures this week. >> yeah, this week. come this weekend. especially if you work outdoors. you want to keep that water bottle handy. go ahead and throw it in the freezer right now. you won't need it today so much as you will as we head through monday, tuesday, wednesday next week if you're one of our monday

through friday work crowd. you can see right now getting to work won't be a problem in terms of weather. no heavy fog to report. and of course, this is that time of year where we typically do have a good amount of cloud cover at this point. tomorrow morning will be a contrast. we'll get more of that onshore flow, more fog to start out with, but a nice clear drive today and through the weekend, every bit of fog that does develop will push right back out to sea as high pressure moves in pushing offshore winds. 52 degrees in san francisco right now, we're in the 50s here in san jose, cool enough if you're sensitive to the cold, winds sustained at 20 miles per hour. southwest at 18 miles per hour in places like fairfield. i wanted to point out your wind speeds. today they will be a little bit on the gusty side, not so much as we're expecting them to be tomorrow. we look at the key, starting to get a little bit more active in terms of your winds by about 4:00 p.m. as we head throughout your friday, more reds and pinks especially at the coast.

it's been very dry around here and all that wind just carries the pollen around. if you have allergies, you might notice they have returned. well, we're going to see a much lower pollen count once we lose the winds by this weekend. keep that in mind, rather high for this time of year, still in the moderate range. 80 degrees in san jose, and you'll get about 72 degrees in fremont as we head throughout tomorrow and fog, little bit of drizzle, going to keep your temperatures down. back into the upper 70s inland, 73 degrees at the bay and 61 degrees at the coast. but take a look at the contrast between friday and when we meet back here on monday. you'll be at 72 degrees in pacifica, 85 in san francisco, and 90 degrees right here in san jose. so make sure you're ready for that. let's get you ready for your morning drive. >> and traffic's back, as well. it's 5:47 on a thursday, so this is what we have for highway 4 standard. but somersville and loveridge, okay there.

no major problems, 24 and the caldecott and the maze, nice drive there. slowing typical for the altamont pass, a 16-minute travel time registering, but really speeds in the 50s and 60s still through pleasanton until you get to the dublin interchange. construction around al costa, 50s in towards san ramon as that crew gets ready to clear in the next few minutes. likely 20 until that clears from the roadway. here in the south bay, the only remaining crew 17, around 280, that construction crew is still there, but the interchange should be no problem as you're driving north for your commute routes. a little slowing over here northbound 280 shows up on our sensors, but there are no incidents. we're looking at 101, the slowing cleared around university. that crew cleared still at marsh, we have that closure for the off ramp. and the shooting overnight, that's where he is off to the freeway.

we'll look at a live shot of the freeway across the bay. nice easy drive. these crews getting ready to move some cones, telling folks to scoot over one more lane. not a big issue. this car gets right by them. no problem, guys, into or out of the north bay. >> thank you very much, mike. little horse racing, yes, this morning, that triple crown countdown in the belmont stakes. >> there you go. hey, the stakes are high at the belmont stakes this year and all eyes on a horse named i'll have another. the horse is running to make history after winning the kentucky derby, the preakness, no horse has won all three races since 1978. i'll have another will try to break the streak as the 4-5 favorite, but spectators will see history before that race ends. 24-year-old new jersey native will become the second woman ever to compete in the last leg of the triple crown. and she says she's riding to win

even if it means ending i'll have another's triple crown dream. >> you like saying that, don't you? >> i want to say thank you, sir, can i have another? you can watch right here on nbc. >> and if memory serves me correctly, the last triple crown winner back in 1978 affirmed. >> i was a jockey for about two seconds in my life. >> you'd be perfect. i'd bet on you every day. speaking of tough competitors like this one, look at this. a 29-year-old mother to be looking forward to competing in the london olympic games this summer. she's a marksman from malaysia who will happen to be eight months pregnant when she represents the country in the air rifle event. she's expected to give birth september 2nd, less than one month after competing at the olympic games. her husband will be there and her doctor will be there. i've been told her husband is

also a doctor. they will accompany her to the london games. so good luck on both accounts. >> yeah. >> winning the gold and bringing the new baby. >> the real gold, right? >> the ultimate gold. coming up, we call oaksterdam service from the east bay to amsterdam. plus, the s-model not ready to hit the road yet, but already sitting in two bay area driveways. we'll let you know which v.i.p.s grabbed that off the assembly line. intended defense cuts could hit the south bay very hard. we'll take a look coming up. a live look outside this morning. not a lot of activity. it looks like from this picture, 280/17 interchange. mike is back today keeping an eye on the traffic pick-up. 5:51. hello?

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good-bye, united. today the dutch airline will begin nonstop service between the oakland international airport and amsterdam. low-cost carrier will offer flights twice a week from now until mid-october. as of now, it's just a seasonal service. but airport officials say they hope that it will offer flights on a long-term basis soon. the airline is headquartered in the netherlands. >> all right. well, get ready, it's here. well, almost here, elon musk saying the company's long awaited model s is coming soon. how soon to a driveway near you? well, there's one sitting in his

driveway. the first of electric cars rolled off the production line in fremont where they were delivered late last week. now the first one to get a board member here, the second one went to musk. and he says he wanted to personally check things out and make sure the car was ready to go and meets all of his standards before delivering this one to customers on june 22nd. according to musk he says the car will not disappoint. >> i bet you it's not just in his carport. i'm sure he doesn't have a carport. >> he's cruising -- >> why would he? the bay area we all know is famous for technology industry. but it continues to grow. scott mcgrew says another industry, though, in a lot of danger this morning. >> yeah, good morning. the weapons industry. we tend to forget the bay area makes a lot of technology that goes into our nation's defense. and a conservative washington think tank points out santa clara county alone gets $6 billion worth of defense spending each year. lockheed martin is a big one working on missile defense. well, we have a graphic that shows some of the information

that -- there we go. there are 25 major projects in the silicon valley that are involved in the defense spending. this according to a think tank called the center for security policy. one of them is called muos. a radio system that informs troops what's going on. look at that number. $726 million spent on muos. under proposed budget cuts, we would lose $65 million. the real concern, though, is that budget control act that congress and the president agreed to last year. remember it? it requires congress to control the deficit if it can't automatic cuts what lawyers call success questions train station go into effect. the defense department hasn't said, laura, what it's going to cut if it has to reduce things by 18%.

very interesting to watch. thank you. >> 5:56 right now. still ahead, paying more for home improvement projects that aren't in your neighborhood. how much you'll pay to upgrade homes for california college leaders. plus, new details in the brian stow beating case. we're going to tell you what stow said about jeering dodgers fans in a the moments before he was attacked. right now, a live look outside the golden gate bridge. looks like the clouds are starting to drop down just a little bit causing that fog out there, traffic's still flowing smoothly. inothealr side of orthis break. other side of th bre. [ mom ] to me, chex is not just a little bowl of cereal,

it's kind of a big deal. to find nutritious and gluten-free cereals my whole family actually loves? well, the word "wow" comes to mind. and then a friend told me chex has five flavors that are gluten-free. even a cinnamon one the kids love. a nutritious cereal that makes everybody happy? like i said, wow. [ male announcer ] chex cereal. five flavors. good and gluten free.

is going for aluminum. cullen jones is in it for water-resistant thermoplastic. and amanda mcgrory? she's competing for carbon fiber. they're not just going for gold, they're joining with citi to give back to the programs that helped them along the way with bikes, kickboards. and racing chairs. join the movement at citi.com/everystep and help citi help our u.s. athletes give back together, every step of the way. good morning, we're live here in east palo alto where a 31-year-old man has been shot and killed outside a family home. the latest on the investigation. market futures